Category Bookkeeping

Step-By-Step To ASC 606 Revenue Recognition

As a subscription-based software company, you need to follow ASC 606 standards. SaaS revenue recognition is highly nuanced so it is vital to have an accountant navigate your financial procedures. If you improperly recognize revenue, you risk misstating your income…

Closing Entries Using Income Summary

In order to cancel out the credit balance, we would need to debit the account. What is the current book value of your electronics, car, and furniture? Are the value of your assets and liabilities now zero because of the…